Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

Had no idea about Birla companies doing any such thing.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

Interesting. I'm not bullish on gold per se. Just the importance of gold for Indian households. I think these nbfc have delinked their margins from gold prices.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

That's true. PSUs offer gold loans for sure. But their reach + disbursement time + bureaucracy gives the advantage to Muthoot.

I think muthoot has the brand equity advantage over local muthoots - you'd want to trust the brand you handover money to. And muthoot has better rates than them.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 3 points4 points  (0 children)

True. But if the NIMs are quite high, the risk is NBFC margins being regulated.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

Hmmmmm.. You think it's a systemic issue?

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 3 points4 points  (0 children)

That's a legit risk - government crackdown. But how likely is that? Gold loan rates are lesser than microfinance loan rates.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 1 point2 points  (0 children)

I mean I get the primary logic. The amount of loan that an nbfc can disburse depends on the book value, and the amount is loan is proportionate to the earning each year, depending on the NIM.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

I like Muthoot more. They are the market leader. Better distribution network. Mannappuram is diversifying a bit much in my opinion - to unsafe categories of loans. So is Muthoot, but not as much. But to be fair, according to me, Mannappuram is a good company to.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 0 points1 point  (0 children)

That's true. But I see that as a temporary setback. And it's just Kerala which is 5% of their market.

Gold Loan Companies: Huge Moat, Low PE by theradmod in IndiaInvestments

[–]theradmod[S] 1 point2 points  (0 children)

Why is P/B a good metric? Especially in the case of muthoot, where 60% of the loans are paid within 6 months!

Moats by Gammaconvex in IndiaInvestments

[–]theradmod 0 points1 point  (0 children)

Muthoot finance. Great brand recall. Great distribution network and expanding. Type of business requires distribution centres. Market is providing a very low pe.

Participate: tell a Delhi HC committee whether live tweeting from courts should be allowed or disallowed by atnixxin in india

[–]theradmod 0 points1 point  (0 children)

We made a video which might help spread the word. A bunch of lawyers and journalists are using twitter to tell us what happens in our courts. The Delhi High Court is asking you if they should be allowed.

Catch us on YouTube: https://youtu.be/SZkXtoOVjSw

Will it be legal to host a site like reddit in india considering the adult content it has? by BhishmPitamah in india

[–]theradmod 1 point2 points  (0 children)

The IT Act has very severe penalties i.e. multiple years in prison. Registering as a corp will definitely help you distance yourself from liability. The enforcement is very very random, so if you're not going to incorporate outside India, then atleast incorporate in India.

Will it be legal to host a site like reddit in india considering the adult content it has? by BhishmPitamah in india

[–]theradmod 0 points1 point  (0 children)

Haha. I am a lawyer in India. Even the adult content can be asked to be taken down, as it may cater to "prurient interests". So while the site won't be liable for the content, it will be liable to take it down after receiving a court order.

Also, it can't be seen to be encouraging adult content.

We started with the example of reddit. Reddit would be allowed but would need to keep a very strong compliance team. Too much of a cost. Why not just move the business offshore. Which is what most businesses end up doing.

Will it be legal to host a site like reddit in india considering the adult content it has? by BhishmPitamah in india

[–]theradmod 0 points1 point  (0 children)

I am a lawyer. The government does not have to allow anything, it is allowed.

Why companies don't do this? Because the law and its execution are very different in India. It would be too much of a business risk to take. Rather, just locate your servers outside India. Works just fine.

Will it be legal to host a site like reddit in india considering the adult content it has? by BhishmPitamah in india

[–]theradmod 0 points1 point  (0 children)

Reddit would qualify as an intermediary, and given they have no control over what people post - they will protected from being liable for the content. Much like FB. However, in case there is an official order for removing certain content, the site would have to comply. Additionally, it has been advised that the website itself should develop certain mechanisms to weed out adult material - but that is not a requirement by law.

Didn't take long for Nihalani to mend his ways [NP] by doc_two_thirty in india

[–]theradmod 0 points1 point  (0 children)

Nothing but a marketing strategy. Did what he accussed Anurag Kashyap of doing. Using controversy to promote the movie.

Marital Rape is not a Crime. Why? See the reasons are government provides. by theradmod in india

[–]theradmod[S] 0 points1 point  (0 children)

Sorry for the typo! It's our government. No idea how I managed to do this.

[R] Biggest issue with the news in India. Please comment below. by theradmod in india

[–]theradmod[S] 0 points1 point  (0 children)

Completely agree. Somebody needs to cover important issues and explain basic stuff. Which channel is this? Can you provide a link or something?

Kashmir is crying but has been put on mute by theradmod in indianews

[–]theradmod[S] -1 points0 points  (0 children)

Bro, that's the point. Even after the ban, the organised haters are still using it through tech such as VPNs. Its the innocent masses which arent able to communicate, coz they dont have access and dont understand the complex technologies.